DB:6ME

Stock Analysis Report

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Executive Summary

Metro Mining Limited operates as an exploration and mining company in Australia.


Snowflake Analysis

High growth potential and good value.

Share Price & News

How has Metro Mining's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 6ME's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-0.9%

6ME

8.3%

DE Metals and Mining

3.2%

DE Market


1 Year Return

-32.5%

6ME

-31.9%

DE Metals and Mining

0.01%

DE Market

Return vs Industry: 6ME exceeded the German Metals and Mining industry which returned -33.7% over the past year.

Return vs Market: 6ME underperformed the German Market which returned 0.3% over the past year.


Shareholder returns

6MEIndustryMarket
7 Day-0.9%8.3%3.2%
30 Day1.9%-0.2%4.7%
90 Day-18.8%-16.2%-0.9%
1 Year-32.5%-32.5%-31.4%-31.9%1.7%0.01%
3 Year-37.9%-37.9%-62.7%-63.8%-6.8%-14.0%
5 Year-26.3%-28.9%-60.9%-63.0%3.9%-9.5%

Price Volatility Vs. Market

How volatile is Metro Mining's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Metro Mining undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 6ME (€0.05) is trading below our estimate of fair value (€0.8)

Significantly Below Fair Value: 6ME is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 6ME is poor value based on its PE Ratio (38.2x) compared to the Metals and Mining industry average (8.9x).

PE vs Market: 6ME is poor value based on its PE Ratio (38.2x) compared to the German market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: 6ME is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: 6ME is good value based on its PB Ratio (1x) compared to the DE Metals and Mining industry average (4.2x).


Next Steps

Future Growth

How is Metro Mining forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

44.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6ME's forecast earnings growth (44.8% per year) is above the savings rate (0.2%).

Earnings vs Market: 6ME's earnings (44.8% per year) are forecast to grow faster than the German market (21.6% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 6ME's revenue (13.9% per year) is forecast to grow faster than the German market (5.7% per year).

High Growth Revenue: 6ME's revenue (13.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 6ME's Return on Equity is forecast to be high in 3 years time (25.8%)


Next Steps

Past Performance

How has Metro Mining performed over the past 5 years?

39.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 6ME has a large one-off loss of A$1.6M impacting its December 31 2019 financial results.

Growing Profit Margin: 6ME became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: 6ME has become profitable over the past 5 years, growing earnings by 39.5% per year.

Accelerating Growth: 6ME has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: 6ME has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-0.06%).


Return on Equity

High ROE: 6ME's Return on Equity (2.7%) is considered low.


Next Steps

Financial Health

How is Metro Mining's financial position?


Financial Position Analysis

Short Term Liabilities: 6ME's short term assets (A$54.6M) exceed its short term liabilities (A$28.0M).

Long Term Liabilities: 6ME's short term assets (A$54.6M) do not cover its long term liabilities (A$55.6M).


Debt to Equity History and Analysis

Debt Level: 6ME's debt to equity ratio (27.8%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 6ME's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 6ME's debt is well covered by operating cash flow (102%).

Interest Coverage: 6ME's interest payments on its debt are not well covered by EBIT (2.3x coverage).


Balance Sheet


Next Steps

Dividend

What is Metro Mining's current dividend yield, its reliability and sustainability?

15.00%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 6ME's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 6ME's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 6ME's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 6ME's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 6ME's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.2yrs

Average management tenure


CEO

Simon Finnis (53yo)

5.33yrs

Tenure

AU$572,265

Compensation

Mr. Simon Finnis has been Chief Executive Officer at Cape Alumina Pty Ltd since January 12, 2015. Mr. Finnis serves as Chief Executive Officer of Grand Cote Operations in Senegal. Mr. Finnis has been Manag ...


CEO Compensation Analysis

Compensation vs Market: Simon's total compensation ($USD379.94K) is about average for companies of similar size in the German market ($USD417.67K).

Compensation vs Earnings: Simon's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Simon Finnis
MD, CEO & Executive Director5.33yrsAU$572.27k0.34% A$283.8k
Duane Woodbury
Joint Company Secretary & CFO2.17yrsAU$358.76k0.074% A$61.5k
Mitchell Petrie
Joint Company Secretary1.17yrsno datano data
Nicholas Villa
Project Manager & Site Senior Executiveno dataAU$192.63kno data

2.2yrs

Average Tenure

Experienced Management: 6ME's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Simon Finnis
MD, CEO & Executive Director5.33yrsAU$572.27k0.34% A$283.8k
Stephen Everett
Independent Non-Executive Chairman7.83yrsAU$150.07k0.32% A$262.2k
Mark Sawyer
Non-Executive Director3.83yrsno datano data
Philip Hennessy
Independent Non-Executive Director5.67yrsAU$98.75k0.23% A$189.8k
Michael Haworth
Alternate Director3.67yrsno datano data
Fiona Murdoch
Independent Non-Executive Director1.17yrsAU$74.47k0.011% A$9.0k

3.8yrs

Average Tenure

53yo

Average Age

Experienced Board: 6ME's board of directors are considered experienced (3.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Metro Mining Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Metro Mining Limited
  • Ticker: 6ME
  • Exchange: DB
  • Founded: 2014
  • Industry: Aluminum
  • Sector: Materials
  • Market Cap: AU$138.890m
  • Listing Market Cap: AU$82.945m
  • Shares outstanding: 1.39b
  • Website: https://www.metromining.com.au

Location

  • Metro Mining Limited
  • 247 Adelaide Street
  • Level 2
  • Brisbane
  • Queensland
  • 4000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MMIASX (Australian Securities Exchange)YesOrdinary SharesAUAUDDec 2009
6MEDB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2009
MMICHIA (Chi-X Australia)YesOrdinary SharesAUAUDDec 2009

Biography

Metro Mining Limited operates as an exploration and mining company in Australia. The company explores for coal and bauxite. Its flagship project is the Bauxite Hills Mine project covering approximately 1,900 square kilometers of exploration tenements located to the north of Weipa on Western Cape York. The company was formerly known as MetroCoal Limited and changed its name to Metro Mining Limited in December 2014. Metro Mining Limited was founded in 2014 and is headquartered in Brisbane, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/29 23:14
End of Day Share Price2020/05/29 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.